26th January 2026
The Secretary-General of the African Continental Free Trade Area (AfCFTA), Wamkele Mene, has highlighted persistently high costs related to infrastructure, transport, logistics, and trade finance as major constraints to Africa’s ability to benefit from the emerging “new economy.” Speaking at a World Economic Forum session in Davos on unlocking new sources of growth, Mene described the new economy as a shift from traditional manufacturing toward technology-driven economic activity.
Mene cited estimates from the African Development Bank indicating that Africa’s annual infrastructure costs remain substantial, alongside ongoing challenges in transport logistics and the movement of people across regions outside established blocs such as ECOWAS and the East African Community.
He emphasized that these barriers undermine the continent’s capacity to capitalize on its market of 1.4 billion people and a combined GDP of $3.4 trillion, underscoring the urgency of accelerating market integration under the AfCFTA.
President Julius Maada Bio of Sierra Leone echoed these concerns, arguing that the continent remains insufficiently prepared for the new economy due to infrastructure deficits, energy and connectivity challenges, and gaps in skills development and education. Similarly, Rachel Glennerster, President of the Centre for Global Development, stressed that sustained investment in education and the reduction of trade barriers are essential to harness Africa’s youthful population and enable scalable economic growth.